Herbal Medicinal Products Market Size

Herbal Medicinal Products Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The herbal medicine market is expected to grow at a fast pace. The current value of the herbal medicine market is estimated to reach $ 9.42 billion by 2024, and $ 21 billion by 2032. The compound annual growth rate of the herbal medicine market is expected to be 10.54% between 2024 and 2032. This is mainly driven by the growing popularity of natural and organic products, as well as the health benefits of herbal medicines. The number of chronic diseases is also rising, and the prevention of disease is becoming more and more important. The development of new products and formulas, and the increase in e-commerce, are also driving the growth of the herbal medicine market. Moreover, key players in the herbal medicine industry, such as Herbalife and Gaia Herbs, are actively launching new products and forming strategic alliances to expand their market share. Recent collaborations, for example, have been established to develop new herbal formulas that meet consumers' changing needs.

Regional Market Size

Regional Deep Dive

The market for herbal medicines is growing steadily in various regions, driven by an increasing awareness of the benefits of natural medicines, a shift towards preventive health care and the rising popularity of herbal supplements. In North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America, the dynamics of the herbal medicines market are influenced by cultural preferences, regulatory frameworks, and economic conditions that shape the behavior of consumers and the availability of products. Each region offers opportunities and challenges, and innovations in product development and distribution channels can further increase the market potential.

North America

• The Food and Drug Administration (FDA) has just issued new guidelines for dietary supplements, including herbal products, which emphasize the importance of clear labeling and safety, thereby increasing consumers’ trust.
• The development of new herbal formulas is in the hands of companies such as Herbalife and Gaia Herbs.
• North America is a great centre of medical tourism, and this is pushing up the demand for herbal remedies.

Europe

• The European Medicines Agency (EMC) has been working on the harmonization of herbal medicines, which is expected to facilitate the introduction of new herbal medicines on the market and to improve the safety of herbal medicines.
• In Germany and the United Kingdom, herbal teas and herbal supplements are experiencing a boom, with companies like Pukka leading the way in sustainable sourcing and ethical business practices.
• The growth of e-commerce in Europe is facilitating access to herbal products, enabling consumers to compare more products and brands, and thereby increasing competition among them.

Asia-Pacific

• In the herbal products market, traditional Chinese medicine (TCM) continues to play an important role. The Chinese government has included TCM in its national health care system, and the government has invested in R & D.
• Ayush Ministry is launching several schemes to promote the use of herbal and ayurvedic medicines, which is expected to boost the local manufacturing and exports.
• Herbal medicines have a long history in the East. As the middle class has grown in countries like India and Indonesia, herbal medicines have also become popular.

MEA

• The Gulf Cooperation Council (GCC) countries are witnessing an increasing acceptance of herbal products, which is based on the culture of their peoples and the growing demand for natural remedies.
• Al-Haramain and Herbalife are expanding their herbal remedies to suit the local tastes and habits.
• A new and clearer regulatory framework is expected to enhance the credibility of the herbal products market and consumers’ trust.

Latin America

• Brazil and Mexico are the leaders in the market for herbal products, with a rich bio-diversity that supports the cultivation of many medicinal plants, and thus attracts local and foreign investment.
• In Latin America, the organic and natural product trends are increasing, which is why companies are innovating to develop herbal products that meet the demands of consumers for a healthy and sustainable lifestyle.
• The aforementioned promotion of herbal medicines is likely to increase the demand for herbal products in the region.

Did You Know?

“In the majority of the countries of the world the population is dependent on herbal medicine for the treatment of its most common diseases.” — World Health Organization (WHO)

Segmental Market Size

The market for herbal medicinal products is growing steadily, due to the growing interest of consumers in natural remedies and the holist health care. The herbal medicines are gaining in importance, because more and more people are looking for alternatives to conventional medicine. The growing awareness of the side effects of synthetic drugs and the increasing tendency to preventive medicine are the main driving forces.

Herbal medicine is in a mature stage of development in the country. The pioneers in the field of herbal medicine are Himalaya and Thera Medicinals. These are mainly dietary supplements, teas and topical preparations. Echinacea for the support of the immune system and turmeric for anti-inflammatory are some of the well-known herbs. These herbs have gained further importance as a result of the swine flu pandemic. The herbal products are also in line with the sustainable development trends, with a focus on organic sourcing and the use of eco-friendly packaging.

Future Outlook

In the next eight years, the market for herbal medicines is expected to grow from US$9.4 billion to US$21.0 billion, at a CAGR of 10.54%. The main reason for this is that consumers are increasingly demanding natural and organic products, which are free of side effects and are concerned about the adverse effects of chemical drugs. This has led to the emergence of herbal medicines, and by 2032, herbal medicine products will account for more than 30% of the total health market, according to market research.

Herbal drugs are of great utility to mankind, and have been used from the earliest times. Today, thanks to the innovations in extraction and formulation techniques, herbal drugs are becoming more effective and more bioavailable, and therefore more desirable to consumers and health care professionals. In addition, a supportive regulatory environment and increased R&D expenditure are expected to facilitate the introduction of new products and increase market access. And the development of herbal medicine and digital health will further promote the development of the market. As consumers increasingly seek to find health and life goals, they are willing to try different herbal drugs.